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§ 1263.530.Temporary Interference With Or Interruption of Business

Title 7. Eminent Domain Law · Chapter 9. Compensation · Article 6. Compensation for Loss of Goodwill · Enacted 1975 · no amendments on record · Last verified July 29, 2026

In one sentenceSection 1263.530 clarifies that the goodwill-compensation article is not meant to govern, and does not preclude, separate inverse-condemnation claims for temporary interference with or interruption of a business caused by a public project.

Full Text of § 1263.530

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Nothing in this article is intended to deal with compensation for inverse condemnation claims for temporary interference with or interruption of business.

Plain-English Summary

This short section is a boundary marker. The goodwill article deals with a lasting loss of goodwill tied to a taking -- it is not meant to reach, and does not limit, a different kind of claim: inverse condemnation for temporary interference with, or interruption of, a business.

That distinction matters because the two claims run on different tracks. A goodwill claim under § 1263.510 arises out of a formal eminent domain proceeding and measures a lasting loss tied to a specific taking. A temporary-interference claim can arise even without a formal taking -- construction next door, road closures, or similar disruption -- and this section makes clear that nothing in the goodwill article stands in its way.

Frequently Asked Questions

Does the goodwill article cover temporary business disruption from nearby construction?

No -- that is a separate inverse condemnation claim for temporary interference with or interruption of business, which this article does not address.

Can a business bring both a goodwill claim and an inverse condemnation claim?

Yes, in the right circumstances -- they are separate theories addressing different kinds of harm, and this section keeps the door open for the temporary-interference claim.

Amendment History

Added by Stats. 1975, Ch. 1275.

Source & verification. Section text is reproduced verbatim from the Deering's California Codes Annotated / vLex. Enacted by the California Legislature. Last verified July 29, 2026. · Official source
Also known as: inverse condemnation business interruption californiatemporary interference eminent domain business